Very slow xfce

[Nishita Desai]

Hello,

I am having a very strange problem. I just finished installing
Xfce-4.4 and got it to work with XDM. But all xfce native applications
are behaving very strangely:

1. The terminal doesn't echo back my characters till I've typed the
next character. This is applicable to backspace key and password
prompts (which wont show up till _after_ if finished typing and
pressed enter)
2. The menus dont render properly. Again, I can see the the items only
when I hover over them.

xterm works fine, so do menus within Firefox. Although my cursor
disappears in Firefox's text-boxes sometimes.

I have just installed exactly this combination on another system and
it works fine. I am quite at a loss where to even start looking. Any
help would be appreciated.

Thanks,
Nishita